MGMT 372 Ch. 4 (Gligor) || All Answers are Flawless.
Distribution occurs between every pair of stages in the supply chain. correct answers T
Companies in the same industry often select very different distribution networks, because the
choice of the distribution network can be used to achieve a variety of supply chain objectives
ranging from low cost to high responsiveness. correct answers T
A customer does not necessarily want the highest level of performance along all dimensions of
customer service, including response time, product variety, product availability, customer
experience, order visibility, and returnability. correct answers T
Outbound transportation costs per unit tend to be lower than inbound costs, because inbound lot
sizes are typically larger. correct answers F
Transportation costs are high with drop-shipping because the average outbound distance to the
end consumer is large and package carriers are used to shipping the product. correct answers T
As long as inbound transportation economies of scale are maintained, increasing the number of
facilities decreases total transportation cost. correct answers T
Customers always want the highest level of performance along all the dimensions response time,
product variety and returnability. correct answers F
A decrease in the response time customers desire increases the number of facilities required in
the network. correct answers T
The main advantage of in-transit merge over drop-shipping is the somewhat lower transportation
cost and improved customer experience. correct answers T
The main advantage of a distribution network with local storage is that it can lower the delivery
cost and provide a faster response than other networks. correct answers T
, The major disadvantage of a distribution network with local storage is the increased inventory
and facility costs. correct answers T
A distribution network designer needs to consider product characteristics as well as network
requirements when deciding on the appropriate delivery network. correct answers T
Only niche companies will end up using a single distribution network. correct answers T
Distributors add value to a supply chain between a supply stage and a customer stage if there are
many small players at the customer stage, each requiring a small amount of the product at a time.
correct answers T
For physical products, i.e., products that cannot be downloaded, customer requests take longer to
fulfill through online sales than in a retail store setting. correct answers T
It is much easier to return a product to an online retailer than to a traditional bricks and mortar
seller. correct answers F
Compared to a business with many retail outlets, an online seller with aggregated inventories
tends to have lower per unit transportation costs across the entire supply chain. correct answers F
It is more common for a manufacturer to not own the distribution network. correct answers T
Consumers prefer purchasing commoditized products at a one-stop shop correct answers T
To extract the maximum benefit from the online channel for physical goods, firms should keep it
separate from their existing supply chain networks. correct answers F
Distribution occurs between every pair of stages in the supply chain. correct answers T
Companies in the same industry often select very different distribution networks, because the
choice of the distribution network can be used to achieve a variety of supply chain objectives
ranging from low cost to high responsiveness. correct answers T
A customer does not necessarily want the highest level of performance along all dimensions of
customer service, including response time, product variety, product availability, customer
experience, order visibility, and returnability. correct answers T
Outbound transportation costs per unit tend to be lower than inbound costs, because inbound lot
sizes are typically larger. correct answers F
Transportation costs are high with drop-shipping because the average outbound distance to the
end consumer is large and package carriers are used to shipping the product. correct answers T
As long as inbound transportation economies of scale are maintained, increasing the number of
facilities decreases total transportation cost. correct answers T
Customers always want the highest level of performance along all the dimensions response time,
product variety and returnability. correct answers F
A decrease in the response time customers desire increases the number of facilities required in
the network. correct answers T
The main advantage of in-transit merge over drop-shipping is the somewhat lower transportation
cost and improved customer experience. correct answers T
The main advantage of a distribution network with local storage is that it can lower the delivery
cost and provide a faster response than other networks. correct answers T
, The major disadvantage of a distribution network with local storage is the increased inventory
and facility costs. correct answers T
A distribution network designer needs to consider product characteristics as well as network
requirements when deciding on the appropriate delivery network. correct answers T
Only niche companies will end up using a single distribution network. correct answers T
Distributors add value to a supply chain between a supply stage and a customer stage if there are
many small players at the customer stage, each requiring a small amount of the product at a time.
correct answers T
For physical products, i.e., products that cannot be downloaded, customer requests take longer to
fulfill through online sales than in a retail store setting. correct answers T
It is much easier to return a product to an online retailer than to a traditional bricks and mortar
seller. correct answers F
Compared to a business with many retail outlets, an online seller with aggregated inventories
tends to have lower per unit transportation costs across the entire supply chain. correct answers F
It is more common for a manufacturer to not own the distribution network. correct answers T
Consumers prefer purchasing commoditized products at a one-stop shop correct answers T
To extract the maximum benefit from the online channel for physical goods, firms should keep it
separate from their existing supply chain networks. correct answers F
